FAC-COR (Federal Acquisition Certification for Contracting Officer's Representatives) — Questions and Answers
Question 1: Under the Federal Acquisition Regulation (FAR), past performance information entered in CPARS is typically accessible for how many years?
- 1 year
- 10 years
- 3 years
- 6 years (Correct answer)
Correct answer: 6 years
FAR 42.1503 specifies that past performance evaluations are retained in CPARS for 6 years after contract completion.
Question 2: Which situation represents an organizational conflict of interest (OCI) that a COR must disclose?
- The COR used the contractor's publicly available training materials
- The COR's spouse works for a subcontractor on the monitored contract (Correct answer)
- The COR's agency previously purchased from the same contractor
- The COR attended a public industry day hosted by the contractor
Correct answer: The COR's spouse works for a subcontractor on the monitored contract
A COR's spouse employed by a subcontractor on the monitored contract is a direct financial interest creating a reportable OCI.
Question 3: What documentation practice is considered essential in Federal Acquisition Regulations within the Contracting Officer's Representative field?
- Recording actions, observations, and outcomes in real-time or as close to the event as possible (Correct answer)
- Completing all documentation at the end of the workday
- Using shorthand notes that can be expanded later if needed
- Only documenting unusual events or complications
Correct answer: Recording actions, observations, and outcomes in real-time or as close to the event as possible
Real-time or near-real-time documentation in Federal Acquisition Regulations ensures accuracy, provides a contemporaneous record, and is considered the gold standard for professional accountability and legal defensibility.
Question 4: What behavior could be considered a conflict of interest?
- Documenting contractor performance
- Treating all contractors fairly
- Accepting small personal gifts (Correct answer)
- Referring issues to legal counsel
Correct answer: Accepting small personal gifts
Accepting gifts from contractors or favoring specific vendors can compromise objectivity and violate ethics rules.
Question 5: When a contractor submits a Completion Voucher, what does this signify?
- The contractor is requesting a contract modification
- The government has accepted all deliverables
- The contractor is disputing a government withholding
- The contractor is certifying that all costs have been claimed and no further payments are due (Correct answer)
Correct answer: The contractor is certifying that all costs have been claimed and no further payments are due
A Completion Voucher is the contractor's final cost submission certifying that all allowable costs have been claimed and no further billing will occur.
Question 6: Under FAR Subpart 4.7, what is the required retention period for contract files after final payment?
- 6 years and 3 months (Correct answer)
- 10 years
- Indefinitely
- 3 years
Correct answer: 6 years and 3 months
FAR 4.703 generally requires retention of contractor records for 6 years and 3 months after final payment for most contracts.
Question 7: Which of the following is a valid exception to the TINA requirement for certified cost or pricing data?
- The contract period of performance exceeds five years
- Adequate price competition exists (Correct answer)
- The contractor is classified as a small business
- The contract is awarded to a foreign contractor
Correct answer: Adequate price competition exists
When adequate price competition establishes price reasonableness, certified cost or pricing data is not required under the competition exception to TINA.
Question 8: Which of the following best describes an 'undefinitized contract action' (UCA)?
- A contract with no scope of work defined
- A contract awarded without competition
- A contract that has been terminated for convenience
- A contract where work begins before final price is agreed upon (Correct answer)
Correct answer: A contract where work begins before final price is agreed upon
A UCA (also called a letter contract) allows work to begin while price and other terms are still being negotiated.
Question 9: What is the COR's responsibility when a contractor submits a claim under the Contract Disputes Act?
- The COR must reject all claims submitted more than 60 days after the triggering event
- The COR should document relevant facts and provide the CO with technical or performance data to support the CO's decision (Correct answer)
- The COR must obtain legal counsel before acknowledging receipt of the claim
- The COR has authority to negotiate and settle the claim directly with the contractor
Correct answer: The COR should document relevant facts and provide the CO with technical or performance data to support the CO's decision
Claim decisions are the Contracting Officer's legal responsibility; the COR's role is to compile technical facts, timelines, and performance records that help the CO make an informed final decision.
Question 10: Which surveillance method involves the COR inspecting 100% of all contractor work products?
- Statistical sampling
- 100% inspection (Correct answer)
- Random sampling
- Planned sampling
Correct answer: 100% inspection
100% inspection means every deliverable or output is reviewed, which is appropriate for high-risk or low-volume critical deliverables.
Question 11: The 'revolving door' provisions of federal ethics law are intended to prevent:
- Contractors from bidding on contracts where they helped draft requirements
- CORs from moving to different agencies
- Former government employees from using inside knowledge to benefit contractors they previously regulated (Correct answer)
- Contractors from hiring former military personnel in any capacity
Correct answer: Former government employees from using inside knowledge to benefit contractors they previously regulated
Revolving door restrictions prevent former officials from exploiting insider knowledge, relationships, or influence to gain an unfair advantage for private employers.
Question 12: A COR notices a contractor performing work outside the contract scope. What is the FIRST action the COR should take?
- Issue a verbal modification to authorize the work
- Approve the work if it appears necessary
- Document the issue and notify the Contracting Officer (Correct answer)
- Direct the contractor to stop the unauthorized work
Correct answer: Document the issue and notify the Contracting Officer
The COR lacks authority to modify contracts or direct out-of-scope work; the proper step is to document and notify the CO.
Question 13: A contractor submits a Request for Equitable Adjustment (REA) after a government-directed change. The COR's primary role is to:
- Reject the REA if it was not submitted within 30 days of the change directive
- Negotiate and settle the REA independently within delegated authority limits
- Approve partial payment of the REA to maintain contractor relations during performance
- Review the technical merits and document the impact, then advise the contracting officer (Correct answer)
Correct answer: Review the technical merits and document the impact, then advise the contracting officer
The COR evaluates the technical aspects of an REA and documents scope and impact, but settlement authority resides exclusively with the contracting officer.
Question 14: What document must a contractor submit to the Government when property is lost, damaged, destroyed, or stolen?
- DD Form 1155 (Order for Supplies or Services)
- A report of loss, damage, or destruction to the contracting officer (Correct answer)
- SF-30 (Amendment of Solicitation/Modification of Contract)
- DD Form 250 (Material Inspection and Receiving Report)
Correct answer: A report of loss, damage, or destruction to the contracting officer
FAR 52.245-1 requires contractors to promptly report any loss, damage, or destruction of Government property to the contracting officer.
Question 15: Which FAR part governs the requirements for competition in contracting?
- FAR Part 6 (Correct answer)
- FAR Part 15
- FAR Part 12
- FAR Part 19
Correct answer: FAR Part 6
FAR Part 6 establishes competition requirements and the exceptions to full and open competition.
Question 16: A contractor invoices costs for an employee dinner where alcohol was served during a client entertainment event. Under FAR 31.205-14, these costs are:
- Allowable if the entertainment directly supported the contract mission
- Unallowable in their entirety regardless of business purpose (Correct answer)
- Allowable up to 2% of total direct costs with contracting officer approval
- Allowable only for the food portion; alcohol is unallowable
Correct answer: Unallowable in their entirety regardless of business purpose
FAR 31.205-14 expressly categorizes entertainment costs, including alcoholic beverages, as unallowable costs under government contracts.
Question 17: Which FAR provision guides the contracting officer's determination of appropriate profit or fee on a negotiated contract?
- FAR 15.404-4 (Correct answer)
- FAR 16.306
- FAR 52.215-2
- FAR 31.205
Correct answer: FAR 15.404-4
FAR 15.404-4 establishes guidelines for profit and fee analysis, including the structured approach for determining reasonable profit objectives.
Question 18: Which statement BEST describes the COR's role in contractor performance communications?
- The COR is the primary point of contact for day-to-day technical issues but cannot commit to contract changes (Correct answer)
- The COR may discuss pricing adjustments informally to avoid formal delays
- The COR may promise future contract awards to motivate contractor performance
- The COR can negotiate contract terms directly with the contractor to resolve disputes
Correct answer: The COR is the primary point of contact for day-to-day technical issues but cannot commit to contract changes
CORs manage day-to-day technical oversight but must refer any matter affecting contract terms, price, or schedule to the contracting officer.
Question 19: Under FAR 52.212-4, what is the contractor's obligation when it encounters a government-caused delay?
- Immediately stop work and await direction
- Notify the Contracting Officer and continue performance (Correct answer)
- File a claim within 10 days
- Seek equitable adjustment automatically
Correct answer: Notify the Contracting Officer and continue performance
FAR 52.212-4 requires the contractor to notify the CO of delays and generally continue performance while the issue is resolved.
Question 20: In Cost & Pricing Analysis, what is the FIRST step a COR professional should take when encountering a new case or situation?
- Document the situation and wait for further instructions
- Conduct a comprehensive assessment and gather all relevant information (Correct answer)
- Consult with a supervisor before taking any action
- Implement an immediate solution based on past experience
Correct answer: Conduct a comprehensive assessment and gather all relevant information
In Cost & Pricing Analysis, a thorough initial assessment ensures all relevant factors are identified before deciding on an appropriate course of action. This systematic approach is fundamental to Contracting Officer's Representative practice.
Question 21: Under the Procurement Integrity Act, which information is specifically protected from unauthorized disclosure?
- Modifications issued after award
- Published contractor past performance ratings in CPARS
- Source selection evaluation findings and offeror proposals (Correct answer)
- Contractor invoices after acceptance
Correct answer: Source selection evaluation findings and offeror proposals
The Procurement Integrity Act specifically protects source selection information such as bid/proposal data and evaluation factors from unauthorized disclosure.
Question 22: When a COR discovers a potential conflict of interest involving themselves and a current contract, what is the FIRST action they should take?
- Complete any urgent actions then report
- Seek legal counsel before notifying anyone
- Recuse themselves immediately and stop all contract-related actions
- Disclose the conflict to the contracting officer immediately (Correct answer)
Correct answer: Disclose the conflict to the contracting officer immediately
Immediate disclosure to the contracting officer is the first required step when a COR identifies a potential conflict of interest.
Question 23: How does should-cost analysis differ from comparing a proposal to historical prices paid?
- Should-cost uses DCAA-audited actuals, while historical comparison uses unaudited estimates
- Should-cost focuses on what efficient performance ought to cost, whereas historical comparison references prior transaction prices (Correct answer)
- Should-cost requires contracting officer approval, while historical comparison is the COR's independent determination
- Historical price comparison is prohibited above the TINA threshold, making should-cost the required alternative
Correct answer: Should-cost focuses on what efficient performance ought to cost, whereas historical comparison references prior transaction prices
Should-cost analysis independently estimates what the work should cost under efficient conditions, while historical price comparison simply references what was previously paid.
Question 24: The COR discovers a contractor has overbilled for labor hours on the most recent invoice. What is the COR's first action?
- Unilaterally withhold payment
- Document the discrepancy and notify the Contracting Officer (Correct answer)
- Contact DCAA directly to audit the contractor
- Approve the invoice to avoid delays
Correct answer: Document the discrepancy and notify the Contracting Officer
The COR must document the overbilling discrepancy in writing and immediately notify the Contracting Officer, who has authority to reject or adjust the invoice.
Question 25: What is the PRIMARY purpose of continuing education requirements in Federal Acquisition Regulations for COR professionals?
- Networking with other professionals in the field
- Fulfilling mandatory regulatory requirements only
- Earning additional credentials for career advancement
- Maintaining current knowledge and competency as the field evolves (Correct answer)
Correct answer: Maintaining current knowledge and competency as the field evolves
Continuing education in Federal Acquisition Regulations ensures professionals maintain current knowledge and skills as standards, technologies, and best practices evolve in the Contracting Officer's Representative field.
Question 26: Under FAR 16.603, a letter contract (undefinitized contract action) should not exceed what percentage of the estimated contract price for allowable expenditures before definitization?
- 75%
- 25%
- 50% (Correct answer)
- 100%
Correct answer: 50%
FAR 16.603-2 limits contractor expenditures under a letter contract to no more than 50% of the not-to-exceed price prior to definitization of the contract.
Question 27: The Anti-Deficiency Act prohibits federal agencies from doing which of the following?
- Conducting sole-source acquisitions
- Using multiple award contracts
- Obligating funds in excess of appropriations (Correct answer)
- Awarding contracts to small businesses
Correct answer: Obligating funds in excess of appropriations
The Anti-Deficiency Act prohibits agencies from obligating or expending funds beyond what has been appropriated by Congress.
Question 28: Under FAR 52.222-41, the Service Contract Labor Standards clause applies when the contract is primarily for services and exceeds which dollar threshold?
- $10,000
- $25,000
- $150,000
- $2,500 (Correct answer)
Correct answer: $2,500
The Service Contract Labor Standards (formerly Service Contract Act) applies to service contracts exceeding $2,500.
Question 29: A COR observes a safety violation by contractor employees on a government site. The immediate action is to:
- Issue the contractor a written cure notice
- Document the violation and wait for the next progress meeting
- Terminate the task order immediately
- Stop the unsafe work and notify the CO and contractor's supervisor (Correct answer)
Correct answer: Stop the unsafe work and notify the CO and contractor's supervisor
Imminent safety hazards require immediate action to stop the dangerous work and notify the CO, though the COR cannot issue formal notices independently.
Question 30: Which CPARS rating indicates the contractor's performance meets all contractual requirements and many significant additional areas?
- Exceptional
- Satisfactory
- Very Good (Correct answer)
- Outstanding
Correct answer: Very Good
A 'Very Good' CPARS rating means the contractor has met all requirements and exceeded many, while 'Exceptional' is reserved for performance that exceeds all requirements and significantly benefits the government.
Question 31: When a conflict arises between standard procedures and a unique situation in Cost & Pricing Analysis, what should a COR professional prioritize?
- The most cost-effective solution available
- The preference of the client or stakeholder
- Strict adherence to written procedures without exception
- Safety and ethical obligations while seeking expert consultation (Correct answer)
Correct answer: Safety and ethical obligations while seeking expert consultation
Safety and ethics always take priority in Cost & Pricing Analysis. When standard procedures don't adequately address a unique situation, consulting with experienced colleagues or supervisors ensures both safety and professional standards are maintained.
Question 32: A COR is reviewing a contractor's invoice. Under the Prompt Payment Act, when must the government pay a proper invoice?
- Within 60 days
- Within 45 days
- Within 30 days (Correct answer)
- Within 15 days
Correct answer: Within 30 days
The Prompt Payment Act requires the government to pay proper invoices within 30 days or pay interest penalties.
Question 33: A COR receives an email from a contractor that contains proprietary pricing data not required by the contract. The COR should:
- Notify the contractor of the inadvertent disclosure and protect or return the data (Correct answer)
- Store it in the contract file for reference
- Delete it and take no further action
- Forward it to procurement for competitive analysis
Correct answer: Notify the contractor of the inadvertent disclosure and protect or return the data
Accidental receipt of proprietary contractor data requires the COR to notify the contractor and protect or return the information per procurement integrity rules.
Question 34: What is the PRIMARY purpose of continuing education requirements in Cost & Pricing Analysis for COR professionals?
- Earning additional credentials for career advancement
- Fulfilling mandatory regulatory requirements only
- Networking with other professionals in the field
- Maintaining current knowledge and competency as the field evolves (Correct answer)
Correct answer: Maintaining current knowledge and competency as the field evolves
Continuing education in Cost & Pricing Analysis ensures professionals maintain current knowledge and skills as standards, technologies, and best practices evolve in the Contracting Officer's Representative field.
Question 35: A contractor submits a claim over $100,000 against the government. Under the Contract Disputes Act, what additional requirement must the claim meet?
- The claim must be reviewed by the agency's legal counsel
- The claim must be certified by a contractor representative (Correct answer)
- The claim must include certified cost or pricing data
- The claim must be submitted within 90 days of the dispute
Correct answer: The claim must be certified by a contractor representative
Claims exceeding $100,000 must be certified by the contractor certifying that the claim is made in good faith and the data are accurate and complete.
Question 36: Defective pricing under TINA occurs when a contractor's certified cost or pricing data is:
- Higher than actual costs incurred during contract performance
- Formatted incorrectly per FAR Part 15 submission requirements
- Submitted after the proposal due date established in the solicitation
- Inaccurate, incomplete, or noncurrent at the time of price agreement (Correct answer)
Correct answer: Inaccurate, incomplete, or noncurrent at the time of price agreement
Defective pricing exists when certified data was inaccurate, incomplete, or not current as of the date of price agreement, potentially entitling the government to a price reduction.
Question 37: A contractor requests a change to the contract delivery schedule citing excusable delay. Under FAR 52.249-14, which of the following qualifies as an excusable delay?
- Poor project management
- Labor cost overruns
- Acts of God or natural disasters (Correct answer)
- Subcontractor financial difficulties
Correct answer: Acts of God or natural disasters
FAR 52.249-14 identifies excusable delays as those beyond the contractor's control, such as acts of God, acts of government, fires, floods, and epidemics.
Question 38: A modification is issued that reduces the contract's scope by deleting a deliverable. The contractor claims it invested costs in preparation for that deliverable. What mechanism allows the contractor to seek compensation?
- Termination for default settlement
- Equitable adjustment under the Changes clause (Correct answer)
- REA based on constructive suspension
- Cardinal change doctrine
Correct answer: Equitable adjustment under the Changes clause
Scope reductions (deductive changes) are still changes under the Changes clause, entitling the contractor to an equitable adjustment for reasonable costs already incurred.
Question 39: Which source selection method is most appropriate when technical factors are more important than price?
- Sealed bidding
- Best value tradeoff (Correct answer)
- Micro-purchase
- Lowest Price Technically Acceptable (LPTA)
Correct answer: Best value tradeoff
The best value tradeoff process is most appropriate when technical factors are more important than price, allowing evaluators to trade off technical merit against cost.
Question 40: In an 8(a) sole-source award, what is the dollar threshold below which a contract may be awarded to an 8(a) firm without competition?
- $750,000 for services, $1.5 million for construction
- $4.5 million for most contracts ($7.5 million for manufacturing) (Correct answer)
- $150,000 for all contracts
- $10 million for all contracts
Correct answer: $4.5 million for most contracts ($7.5 million for manufacturing)
FAR 19.805-1 sets the 8(a) competitive threshold at $4.5 million (or $7.5 million for manufacturing), below which sole-source 8(a) awards may be made without competition.
Question 41: On a cost-type prime contract, a subcontractor's costs billed to the prime must:
- Be allowable up to the subcontract ceiling price regardless of the nature of costs
- Be exempt from FAR Part 31 if the subcontract itself is a firm-fixed-price arrangement
- Be automatically allowable if the prime contractor reviewed and approved them
- Meet the same FAR Part 31 allowability standards as the prime contractor's own costs (Correct answer)
Correct answer: Meet the same FAR Part 31 allowability standards as the prime contractor's own costs
Subcontractor costs flowed through to a cost-type prime contract must satisfy the same FAR Part 31 allowability requirements as the prime's own costs.
Question 42: A contractor's employee gives a COR a gift card worth $15 as a token of appreciation after a project milestone. What should the COR do?
- Decline it because any gift from a contractor creates an appearance of conflict
- Accept it but document the receipt in the contract file
- Accept it since it is under the $20 threshold
- Report it to the contracting officer and return it (Correct answer)
Correct answer: Report it to the contracting officer and return it
CORs must report gifts from contractors to the contracting officer and return them to avoid even the appearance of impropriety.
Question 43: A COR should document a contractor's oral representation about contract performance because:
- Oral statements legally supersede written contract terms
- Oral representations automatically constitute contract modifications
- CORs are required by law to record all telephone calls
- Documentation preserves the record and prevents disputes about what was communicated (Correct answer)
Correct answer: Documentation preserves the record and prevents disputes about what was communicated
Documenting oral representations protects the government's position and provides an accurate record if performance disputes arise later.
Question 44: Which standard of practice is MOST important for ensuring quality in Cost & Pricing Analysis?
- Using the most advanced technology available regardless of need
- Minimizing documentation to focus on practical work
- Following evidence-based protocols while adapting to specific circumstances (Correct answer)
- Strictly adhering to the same procedure in every situation
Correct answer: Following evidence-based protocols while adapting to specific circumstances
Evidence-based protocols provide a foundation of proven practices, but effective Contracting Officer's Representative professionals must also adapt their approach based on specific circumstances and individual case needs within Cost & Pricing Analysis.
Question 45: What is an 'improper invoice' under the Prompt Payment Act?
- An invoice missing required information such as the contract number (Correct answer)
- An invoice submitted electronically rather than on paper
- An invoice for an amount over $100,000
- An invoice submitted before the period of performance ends
Correct answer: An invoice missing required information such as the contract number
An improper invoice lacks required data elements — such as contract number, description of supplies or services, or amount — and must be returned to the contractor.
Question 46: The COR notices a contractor employee is working on a government project using unauthorized personal equipment. The BEST course of action is to:
- Issue a cure notice to the contractor on behalf of the government
- Verbally instruct the contractor employee to stop and consider the matter resolved
- Allow it temporarily if no alternative equipment is available
- Document and report the observation to the contracting officer immediately (Correct answer)
Correct answer: Document and report the observation to the contracting officer immediately
Security and compliance deviations must be documented and escalated to the CO — CORs do not issue cure notices or make binding determinations.
Question 47: What distinguishes a Cost-Plus-Award-Fee (CPAF) contract from a Cost-Plus-Fixed-Fee (CPFF) contract?
- CPAF reimburses all costs while CPFF only reimburses allowable costs
- CPAF is used only for research; CPFF is used only for services
- CPAF requires a ceiling price; CPFF does not
- CPAF has a variable fee tied to subjective performance evaluation; CPFF has a fixed fee (Correct answer)
Correct answer: CPAF has a variable fee tied to subjective performance evaluation; CPFF has a fixed fee
CPAF allows the government to award an additional fee based on periodic subjective evaluation of contractor performance, whereas CPFF pays a predetermined fixed fee.
Question 48: What is the COR's primary responsibility regarding Government-Furnished Property?
- Monitoring the contractor's use, care, and accountability of GFP throughout contract performance (Correct answer)
- Determining the replacement cost of lost or damaged GFP
- Signing property transfer documents on behalf of the PCO
- Approving the contractor's property management system
Correct answer: Monitoring the contractor's use, care, and accountability of GFP throughout contract performance
The COR monitors contractor stewardship of GFP to ensure it is used appropriately, properly maintained, and accurately accounted for.
Question 49: When conducting surveillance under a time-and-materials contract, what is the COR's PRIMARY focus?
- Confirming the contractor's overhead rates are reasonable
- Verifying that hours billed are actually worked and labor categories are correct (Correct answer)
- Ensuring the contractor uses government-furnished property efficiently
- Approving all subcontractor invoices before payment
Correct answer: Verifying that hours billed are actually worked and labor categories are correct
Under T&M contracts, the government pays for actual hours worked at specified rates, so verifying labor hours and category accuracy is the COR's primary surveillance focus.
Question 50: Under the Bayh-Dole Act, who retains ownership of inventions made by a contractor using federal funding?
- The invention becomes public domain immediately
- The contractor may retain ownership but must grant the government a license (Correct answer)
- The federal government automatically owns all inventions
- Ownership is split 50/50 between the contractor and the government
Correct answer: The contractor may retain ownership but must grant the government a license
The Bayh-Dole Act allows contractors to retain title to inventions developed with federal funds while the government retains a non-exclusive, royalty-free license to use the invention.
Question 51: Under FAR Part 45, who bears the risk of loss for Government property in the contractor's possession when the contractor has an approved property management system?
- Risk is split equally between the Government and contractor
- The Government assumes the risk of loss unless the contractor is found negligent or has committed willful misconduct (Correct answer)
- The surety company bears the risk through the performance bond
- The contractor bears full risk in all cases
Correct answer: The Government assumes the risk of loss unless the contractor is found negligent or has committed willful misconduct
When a contractor has an approved property management system, the Government generally assumes the risk of loss unless the loss results from contractor negligence or willful misconduct.
Question 52: Which of the following best describes 'deobligation' in the context of contract closeout?
- Transferring funds to a new contract vehicle
- Removing excess obligated funds from a contract and returning them to the appropriation (Correct answer)
- Adding new funding to a contract before it closes
- Obligating funds for a follow-on contract
Correct answer: Removing excess obligated funds from a contract and returning them to the appropriation
Deobligation returns unused, obligated funds to the original appropriation during closeout so they can be reused or expire properly, improving fiscal accuracy.
Question 53: What documentation practice is considered essential in Contract Closeout Procedures within the Contracting Officer's Representative field?
- Completing all documentation at the end of the workday
- Using shorthand notes that can be expanded later if needed
- Only documenting unusual events or complications
- Recording actions, observations, and outcomes in real-time or as close to the event as possible (Correct answer)
Correct answer: Recording actions, observations, and outcomes in real-time or as close to the event as possible
Real-time or near-real-time documentation in Contract Closeout Procedures ensures accuracy, provides a contemporaneous record, and is considered the gold standard for professional accountability and legal defensibility.
Question 54: What is the key distinction between 'discussions' and 'negotiations' in FAR Part 15?
- There is no distinction — the terms are interchangeable in FAR Part 15 (Correct answer)
- Discussions are informal; negotiations require written responses
- Discussions occur before proposals are submitted; negotiations occur after
- Discussions are exchanges intended to allow proposal revisions; negotiations specifically address price
Correct answer: There is no distinction — the terms are interchangeable in FAR Part 15
FAR Part 15 uses 'discussions' and 'negotiations' interchangeably to refer to communications with offerors in the competitive range intended to allow proposal revisions.
Question 55: Who has the final authority to approve payment to a contractor?
- COR
- DCAA auditor
- Contracting Officer (Correct answer)
- Program Manager
Correct answer: Contracting Officer
Only the Contracting Officer has the legal authority to authorize final payment to contractors; the COR's role is to certify receipt and acceptance.
Question 56: A COR who makes an unauthorized commitment is MOST likely to cause which consequence?
- An automatic modification to the contract by operation of law
- A debarment of the contractor from future awards
- The government being obligated to pay for work it did not officially authorize (Correct answer)
- A reduction in the contractor's performance rating
Correct answer: The government being obligated to pay for work it did not officially authorize
Unauthorized commitments can result in the government being held financially responsible for contractor expenditures even without proper contract authority.
Question 57: A COR who is also a Contracting Officer's Technical Representative (COTR) receives conflicting direction from the Program Manager and the Contracting Officer. Whose direction takes precedence on contractual matters?
- The senior official by grade level
- The Program Manager, because they own the project budget
- The direction received first in time
- The Contracting Officer, because only COs have contractual authority (Correct answer)
Correct answer: The Contracting Officer, because only COs have contractual authority
On all contractual matters, the Contracting Officer's direction takes precedence because only the CO holds the legal authority to bind the government.
Question 58: What is the purpose of a receiving report in the contractor payment process?
- To document the contractor's qualifications and past performance
- To record all contract modifications issued
- To certify that goods or services were received and accepted by the government (Correct answer)
- To estimate future contract costs
Correct answer: To certify that goods or services were received and accepted by the government
A receiving report certifies that the government has inspected and accepted the goods or services delivered by the contractor, which is required before payment.
Question 59: Why should CORs avoid making commitments beyond their authority?
- To comply with legal and ethical boundaries (Correct answer)
- To speed up project delivery
- To build rapport with contractors
- To avoid Contracting Officer involvement
Correct answer: To comply with legal and ethical boundaries
Making unauthorized commitments can violate procurement laws and result in personal and professional consequences.
Question 60: Why must CORs maintain proper contract documentation?
- To share with competitors
- To speed up payments
- To avoid using contract terms
- To provide a clear record for compliance and audits (Correct answer)
Correct answer: To provide a clear record for compliance and audits
Proper documentation helps ensure compliance, provides audit trails, and supports contract decisions and oversight.
Question 61: Which contracts are generally exempt from Cost Accounting Standards (CAS) coverage?
- All firm-fixed-price contracts regardless of dollar value
- Contracts with universities and nonprofit research organizations only
- Contracts with small businesses and contracts below the CAS threshold (Correct answer)
- Contracts valued over $100 million awarded competitively
Correct answer: Contracts with small businesses and contracts below the CAS threshold
CAS exemptions include contracts awarded to small businesses and contracts below the CAS coverage threshold, per 48 CFR 9903.201-1.
Question 62: What is an ethical way to handle contractor complaints?
- Report and document appropriately (Correct answer)
- Resolve it off the record
- Ignore the complaint
- Ask the contractor to withdraw it
Correct answer: Report and document appropriately
Listening carefully, documenting concerns, and referring the matter to the Contracting Officer ensures fairness and transparency.
Question 63: The Federal Acquisition Streamlining Act (FASA) primarily aimed to accomplish which goal?
- Mandate performance-based contracting for all agencies
- Increase minority contractor participation
- Establish the FAR Council
- Reduce paperwork and simplify the acquisition process (Correct answer)
Correct answer: Reduce paperwork and simplify the acquisition process
FASA (1994) simplified acquisition procedures, raised the simplified acquisition threshold, and encouraged commercial item procurement.
Question 64: Under FAR 15.403, certified cost or pricing data is NOT required when the acquisition is based on which of the following?
- Negotiated contracts with large businesses
- Sole-source awards above $2 million
- Cost-reimbursement contracts
- Adequate price competition (Correct answer)
Correct answer: Adequate price competition
FAR 15.403-1 exempts acquisitions from certified cost or pricing data requirements when prices are based on adequate price competition.
Question 65: Which cost element is classified as an indirect cost?
- Direct labor hours charged to a specific contract
- Subcontractor invoices tied to a single deliverable
- Facility overhead shared across multiple contracts (Correct answer)
- Raw materials purchased exclusively for one contract
Correct answer: Facility overhead shared across multiple contracts
Indirect costs like facility overhead benefit multiple contracts and cannot be traced directly to a single cost objective.
Question 66: Under FAR Part 9, which type of debarment action requires the contractor to be given notice and opportunity to respond?
- Suspension
- Both proposed debarment and suspension (Correct answer)
- Proposed debarment
- Neither, as both are administrative actions
Correct answer: Both proposed debarment and suspension
FAR 9.406 and 9.407 both require that the contractor receive notice and an opportunity to respond to proposed debarment and suspension.
Question 67: A Performance Work Statement (PWS) differs from a Statement of Work (SOW) primarily because a PWS:
- Includes detailed labor categories and hours
- Describes outcomes and results rather than how work is performed (Correct answer)
- Is only used for construction contracts
- Specifies the exact equipment the contractor must use
Correct answer: Describes outcomes and results rather than how work is performed
A PWS focuses on measurable outcomes and performance standards, giving the contractor flexibility in how to achieve results, whereas a SOW prescribes specific tasks and methods.
Question 68: Which of the following would constitute a violation of the COR's ethical obligations regarding contractor relations?
- Attending a mandatory pre-performance conference hosted by the government
- Participating in a joint government-contractor lessons-learned session
- Reviewing a contractor's monthly status report
- Accepting a contractor-funded trip to inspect a remote project site (Correct answer)
Correct answer: Accepting a contractor-funded trip to inspect a remote project site
Accepting contractor-funded travel, even for legitimate oversight purposes, violates federal ethics rules unless specifically authorized through proper channels.
Question 69: Under FAR 15.405, if a contractor refuses to provide cost or pricing data and no exception applies, the contracting officer must:
- Negotiate the best price obtainable and thoroughly document the basis for price agreement (Correct answer)
- Award the contract at the contractor's proposed price to avoid bid protest risk
- Reject the offer and resolicit with explicit data submission requirements
- Refer the matter immediately to the Inspector General before taking any action
Correct answer: Negotiate the best price obtainable and thoroughly document the basis for price agreement
FAR 15.405 requires the contracting officer to negotiate the best price obtainable when cost data cannot be obtained and to document the basis for the price agreed upon.
Question 70: The Truth in Negotiations Act (TINA) requires certified cost or pricing data for contracts exceeding which threshold?
- $500,000
- $10 million
- $2 million (Correct answer)
- $750,000
Correct answer: $2 million
TINA (now codified in 10 U.S.C. 2306a and 41 U.S.C. 3502) requires certified cost or pricing data for contracts exceeding $2 million.
Question 71: Which FAR clause requires a contractor to maintain a code of business ethics and conduct?
- FAR 52.203-7
- FAR 52.222-54
- FAR 52.215-10
- FAR 52.203-13 (Correct answer)
Correct answer: FAR 52.203-13
FAR 52.203-13 requires contractors to adopt a written code of business ethics and an internal control system for contracts over $6 million.
Question 72: What is the legal significance of the 'scope of appointment' contained in a COR's delegation letter?
- It establishes the contract's period of performance dates
- It precisely defines the boundaries of what the COR is authorized to do on that specific contract (Correct answer)
- It establishes the COR's pay grade and salary
- It lists all of the contractor's performance obligations
Correct answer: It precisely defines the boundaries of what the COR is authorized to do on that specific contract
The scope of appointment in the COR delegation letter defines the exact limits of the COR's authority for that contract, and any action outside those limits is unauthorized.
Question 73: Under WOSB set-aside authority, which additional designation allows WOSB set-asides in industries where women are substantially underrepresented?
- SDB certification
- Economically Disadvantaged WOSB (EDWOSB) (Correct answer)
- Priority WOSB status
- 8(m) designation
Correct answer: Economically Disadvantaged WOSB (EDWOSB)
Economically Disadvantaged WOSBs (EDWOSBs) qualify for set-asides in all NAICS codes where women are underrepresented, while standard WOSB set-asides apply only to substantially underrepresented industries.
Question 74: What is a key ethical obligation for CORs?
- Favor preferred contractors
- Maintain impartiality and integrity (Correct answer)
- Offer gifts to contractors
- Accept contractor favors
Correct answer: Maintain impartiality and integrity
CORs must act with integrity, avoiding conflicts of interest and ensuring fair treatment of all contractors.
Question 75: A contractor's project manager invites the COR to a sporting event as part of a general industry outreach event. The COR should:
- Attend only if the fair market value of the ticket is under $20
- Attend freely since it is an industry event, not a direct gift
- Consult the agency ethics official before deciding (Correct answer)
- Decline because the appearance of a conflict outweighs any networking benefit
Correct answer: Consult the agency ethics official before deciding
When the ethics decision is not clear-cut, consulting the agency ethics official is the appropriate first step before accepting.
Question 76: What is the maximum period of program participation for a firm in the SBA 8(a) Business Development Program?
- 5 years
- 9 years (Correct answer)
- 12 years
- 7 years
Correct answer: 9 years
The 8(a) program provides a nine-year term of participation, divided into a four-year developmental stage and a five-year transition stage.
Question 77: A COR learns that a fellow government employee is sharing source selection information with a contractor. The COR should:
- Confront the employee directly and warn them to stop
- Inform the contractor that such information cannot be accepted
- Document the behavior but take no immediate action
- Report the suspected violation to the contracting officer and/or the Inspector General (Correct answer)
Correct answer: Report the suspected violation to the contracting officer and/or the Inspector General
Suspected violations of procurement integrity must be reported to the contracting officer and potentially the IG or ethics office — not handled informally.
Question 78: A Contracting Officer issues a final decision on a contractor claim. Under the Contract Disputes Act, how long does the contractor have to appeal to the Armed Services Board of Contract Appeals (ASBCA)?
- 90 days (Correct answer)
- 30 days
- 60 days
- 1 year
Correct answer: 90 days
Under the Contract Disputes Act, a contractor must file an appeal with a Board of Contract Appeals within 90 days of receiving the CO's final decision.
Question 79: What does 'should-cost analysis' mean in government contracting?
- A cost comparison between two competing proposals
- The contractor's internal cost estimate submitted with its proposal
- A post-award audit comparing actual costs to proposed costs
- An estimate of what the government believes the contract should cost based on efficient performance (Correct answer)
Correct answer: An estimate of what the government believes the contract should cost based on efficient performance
Should-cost analysis is a government assessment of what a contract should cost if the contractor performs efficiently, used as a negotiation baseline.
Question 80: Under the Standards of Ethical Conduct for Employees of the Executive Branch, a COR may NOT use their public position to:
- Endorse a contractor's product in a government newsletter (Correct answer)
- Sign inspection reports on behalf of the government
- Review contractor invoices for accuracy
- Communicate performance concerns to the contractor's project manager
Correct answer: Endorse a contractor's product in a government newsletter
Using a government position to endorse or promote a private company's products or services violates federal ethics rules.
Question 81: Which scenario BEST illustrates an effective use of written communication by a COR?
- Sending a text message to the contractor to avoid creating a paper trail
- Issuing an email to the contractor confirming a direction already given verbally and noting it in the COR file (Correct answer)
- Calling the contractor to confirm a verbal stop-work order was received
- Emailing the contractor's CEO to pressure timely performance
Correct answer: Issuing an email to the contractor confirming a direction already given verbally and noting it in the COR file
Best practice is to confirm verbal direction in writing to create an auditable record and prevent misunderstandings.
Question 82: Which clause in the FAR requires contractors to flow down certain requirements to subcontractors?
- FAR 52.215-2 Audit and Records
- FAR 52.203-13 Contractor Code of Business Ethics
- FAR 52.222-26 Equal Opportunity
- All of the above, depending on the requirement (Correct answer)
Correct answer: All of the above, depending on the requirement
Multiple FAR clauses require flowdown to subcontractors, including equal opportunity, ethics, and audit clauses depending on dollar thresholds and contract type.
Question 83: When a contractor submits a request for equitable adjustment (REA), what triggering event typically gives rise to this request?
- The contractor finds a more efficient way to complete the work
- The contractor's overhead rates increase mid-performance
- A government-directed change increases the contractor's cost or time to perform (Correct answer)
- The contract's option year is exercised late
Correct answer: A government-directed change increases the contractor's cost or time to perform
An REA arises when a government action—such as a directed change or differing site condition—causes the contractor additional costs or schedule impact not anticipated at award.
Question 84: Why is clear communication important for a COR?
- To avoid regular reporting
- To reduce formal documentation
- To create informal agreements
- To ensure clarity and mutual understanding (Correct answer)
Correct answer: To ensure clarity and mutual understanding
Effective communication helps ensure contractor understanding, reduces misunderstandings, and keeps all parties aligned with contract goals.
Question 85: A COR discovers a contractor has submitted false invoices. What is the MOST appropriate action?
- Issue a cure notice to the contractor
- Reduce the contractor's performance rating
- Reject the invoice and adjust the next payment
- Immediately notify the Contracting Officer and Inspector General (Correct answer)
Correct answer: Immediately notify the Contracting Officer and Inspector General
False invoices may constitute fraud under the False Claims Act, requiring immediate referral to the CO and IG for investigation.
Question 86: Within how many days must the government generally make payment under the Prompt Payment Act after receiving a proper invoice?
- 30 days (Correct answer)
- 60 days
- 45 days
- 15 days
Correct answer: 30 days
The Prompt Payment Act generally requires the government to pay a proper invoice within 30 days of receipt.
Question 87: Which standard of practice is MOST important for ensuring quality in Source Selection & Evaluation?
- Minimizing documentation to focus on practical work
- Using the most advanced technology available regardless of need
- Following evidence-based protocols while adapting to specific circumstances (Correct answer)
- Strictly adhering to the same procedure in every situation
Correct answer: Following evidence-based protocols while adapting to specific circumstances
Evidence-based protocols provide a foundation of proven practices, but effective Contracting Officer's Representative professionals must also adapt their approach based on specific circumstances and individual case needs within Source Selection & Evaluation.
Question 88: In a Fixed-Price Incentive (FPI) contract, what happens when the contractor's final costs exceed the established ceiling price?
- The contractor absorbs all costs above the ceiling price (Correct answer)
- The government absorbs all costs above the ceiling price
- Costs above the ceiling are split equally between the government and contractor
- The contract automatically converts to a CPFF arrangement above the ceiling
Correct answer: The contractor absorbs all costs above the ceiling price
The ceiling price in an FPI contract is the maximum the government will pay; all costs exceeding the ceiling are entirely the contractor's responsibility.
Question 89: A service-disabled veteran-owned small business (SDVOSB) must have what percentage of ownership by service-disabled veterans?
- At least 51% (Correct answer)
- At least 40%
- 100%
- At least 25%
Correct answer: At least 51%
To qualify as an SDVOSB, the firm must be at least 51% unconditionally owned and controlled by one or more service-disabled veterans.
Question 90: A contractor submits a progress report that the COR suspects contains inflated performance metrics. What is the appropriate response?
- Forward the report to audit without notifying the contractor
- Reject the report and draft a corrective action plan
- Accept the report but note the suspicion in a personal file
- Request supporting documentation and coordinate findings with the contracting officer (Correct answer)
Correct answer: Request supporting documentation and coordinate findings with the contracting officer
The COR should request evidence to substantiate the metrics and involve the CO before any formal action, ensuring due process and proper authority.
Question 91: What should a COR do if contractor performance falls below expectations?
- Cancel the contract independently
- Notify the Contracting Officer with documentation (Correct answer)
- Take disciplinary action
- Ignore the issue
Correct answer: Notify the Contracting Officer with documentation
Documenting performance issues and notifying the Contracting Officer is essential for resolution and accountability.
Question 92: A contractor's employee whistle-blows to the COR that the company is falsifying inspection test data. The COR's FIRST step should be to:
- Confront the contractor's management with the allegation
- Wait for the next scheduled inspection to verify the claim
- Immediately notify the Contracting Officer and document the allegation (Correct answer)
- Contact the Department of Justice directly
Correct answer: Immediately notify the Contracting Officer and document the allegation
The COR must promptly document and escalate serious contractor misconduct allegations to the CO, who will coordinate with legal counsel and appropriate authorities.
Question 93: Which of the following is an example of a COR exceeding their delegated authority?
- Directing the contractor to perform work outside the contract statement of work (Correct answer)
- Forwarding the contractor's invoice to the finance office
- Conducting a site visit to verify deliverable quality
- Documenting a contractor's late delivery in writing
Correct answer: Directing the contractor to perform work outside the contract statement of work
Directing out-of-scope work constitutes an unauthorized commitment, which only warranted contracting officers may make.
Question 94: Federal ethics rules prohibit a COR from seeking employment with a contractor while:
- The contractor has an active proposal under evaluation
- Within two years of the contract's award date
- Assigned as a COR on any government contract
- Personally and substantially involved in a procurement affecting that contractor (Correct answer)
Correct answer: Personally and substantially involved in a procurement affecting that contractor
Post-employment restrictions apply when a federal employee has been personally and substantially involved in a matter involving the prospective employer.
Question 95: What is the purpose of a 'cure notice' in contract administration?
- To formally close out a completed contract
- To waive a contractor's liability for a past performance failure
- To notify a contractor of a deficiency and provide time to correct it before a termination for default can be issued (Correct answer)
- To transfer contract responsibility to a successor contractor
Correct answer: To notify a contractor of a deficiency and provide time to correct it before a termination for default can be issued
A cure notice informs the contractor of a failure to perform and typically gives 10 days to cure the deficiency before the government may terminate for default.
Question 96: Under the Federal Acquisition Certification for CORs (FAC-COR), how many training hours are required for a Level II COR?
- 16 hours
- 40 hours (Correct answer)
- 24 hours
- 80 hours
Correct answer: 40 hours
FAC-COR Level II certification requires 40 hours of training covering contract administration, performance monitoring, and related acquisition topics.
Question 97: When completing a Contractor Performance Assessment Report (CPAR), the COR should base ratings on:
- Verbal feedback from end users only
- The contractor's own self-assessment submitted at year-end
- Objective documented evidence gathered throughout the rating period (Correct answer)
- Personal impressions of the contractor's personnel
Correct answer: Objective documented evidence gathered throughout the rating period
CPAR ratings must be supported by contemporaneous documentation to be defensible and fair.
Question 98: What type of billing is used on cost-reimbursement contracts where contractors bill as costs are incurred?
- Fixed-price progress payments
- Cost vouchers (Correct answer)
- Time-and-materials invoices
- Milestone billing
Correct answer: Cost vouchers
Cost vouchers are the invoicing mechanism used on cost-reimbursement contracts to bill the government as allowable costs are incurred.
Question 99: What should a COR do if an invoice includes charges for work not yet performed?
- Reject it and notify the Contracting Officer (Correct answer)
- Approve it to maintain contractor relations
- Ignore the discrepancy if the amount is small
- Pay only the completed portion without notifying the CO
Correct answer: Reject it and notify the Contracting Officer
The COR must reject invoices for unperformed work and immediately notify the Contracting Officer to take appropriate action.
Question 100: When a COR identifies a deficiency in contractor performance, the communication to the contractor should be:
- Delayed until the deficiency is confirmed by the CO in writing
- Escalated directly to the contractor's CEO to ensure immediate attention
- Delivered verbally only to give the contractor an informal opportunity to correct
- Timely, specific, and in writing, with a copy provided to the contracting officer (Correct answer)
Correct answer: Timely, specific, and in writing, with a copy provided to the contracting officer
Performance deficiency notices must be timely, specific, documented in writing, and shared with the CO to initiate the formal performance management process.
Question 101: Which of the following best defines 'privity of contract' in the context of federal contracting?
- The government's right to inspect contractor facilities
- The confidentiality of contract pricing information
- The direct contractual relationship between two contracting parties (Correct answer)
- The right of subcontractors to sue the government directly
Correct answer: The direct contractual relationship between two contracting parties
Privity of contract means only parties who are direct parties to the contract (government and prime contractor) have rights and obligations under it.
Question 102: What is the purpose of the COR maintaining a 'COR file' or 'contract administration file'?
- To maintain a complete and auditable record of all contract administration actions (Correct answer)
- To serve as the official contract file in lieu of the contracting officer's file
- To track the contractor's financial statements for tax purposes
- To store personal notes that are exempt from FOIA requests
Correct answer: To maintain a complete and auditable record of all contract administration actions
The COR file creates an auditable record of all oversight actions and communications, supporting accountability and decisions by the CO.
Question 103: What documentation practice is considered essential in Performance Monitoring & QA within the Contracting Officer's Representative field?
- Using shorthand notes that can be expanded later if needed
- Only documenting unusual events or complications
- Recording actions, observations, and outcomes in real-time or as close to the event as possible (Correct answer)
- Completing all documentation at the end of the workday
Correct answer: Recording actions, observations, and outcomes in real-time or as close to the event as possible
Real-time or near-real-time documentation in Performance Monitoring & QA ensures accuracy, provides a contemporaneous record, and is considered the gold standard for professional accountability and legal defensibility.
Question 104: A contractor consistently submits deliverables on time but with minor defects. Under a Quality Assurance Surveillance Plan (QASP), what is the COR's FIRST step?
- Immediately recommend a contract termination
- Document the defects and notify the contractor in writing (Correct answer)
- Unilaterally reduce the contractor's payment
- Overlook minor defects to maintain the relationship
Correct answer: Document the defects and notify the contractor in writing
The COR must document deficiencies and formally notify the contractor, giving them an opportunity to correct issues before escalation.
Question 105: Which FAR clause gives the government the right to terminate a contract for its convenience?
- FAR 52.249-1 (Correct answer)
- FAR 52.222-1
- FAR 52.243-1
- FAR 52.233-1
Correct answer: FAR 52.249-1
FAR 52.249-1 (and related clauses in FAR 52.249 series) provides the government's right to terminate for convenience.
Question 106: A contractor submits a request for equitable adjustment (REA) claiming additional costs due to a differing site condition. Under FAR 52.236-2, within how many days must the contractor provide notice?
- 10 days (Correct answer)
- 30 days
- 20 days
- 5 days
Correct answer: 10 days
FAR 52.236-2 requires the contractor to promptly notify the CO within 10 days before disturbing the conditions.
Question 107: Which statement best describes a COR's recordkeeping obligation throughout contract performance?
- Only document issues formally flagged by the Contracting Officer
- Only maintain records for contracts exceeding $1 million
- Maintain a complete, organized file to support audits, disputes, and GAO or IG reviews (Correct answer)
- Keep records only until final payment is issued
Correct answer: Maintain a complete, organized file to support audits, disputes, and GAO or IG reviews
COR files must be comprehensive and well-organized to support any post-award audit, contractor claim, GAO review, or Inspector General inquiry.
Question 108: What is the primary legal effect of a 'no-cost modification'?
- It waives the contractor's right to future claims on modified items
- It converts a cost-plus contract to a fixed-price contract
- It adjusts contract terms (scope, schedule, or administrative details) without changing the contract price (Correct answer)
- It terminates a specific line item for convenience
Correct answer: It adjusts contract terms (scope, schedule, or administrative details) without changing the contract price
A no-cost modification changes one or more contract terms without altering the total contract price, often used for schedule adjustments or minor scope clarifications.
Question 109: A contractor informally tells the COR that a required deliverable will be two weeks late. What should the COR do?
- Tell the contractor to submit a formal request directly to the CO
- Grant a verbal extension since it is a minor delay
- Document the information and notify the contracting officer (Correct answer)
- Update the contract schedule in the government system
Correct answer: Document the information and notify the contracting officer
The COR must document contractor communications and notify the CO, who has authority to grant or deny extensions.
Question 110: What must the COR verify before Government-Furnished Equipment is delivered to a contractor?
- That the equipment is in acceptable condition and properly documented, and that delivery is reflected in contract records (Correct answer)
- That the contractor's facility has passed a security clearance inspection
- That the contractor has adequate insurance coverage for the equipment
- That the contractor has waived all rights to file a claim for defective GFE
Correct answer: That the equipment is in acceptable condition and properly documented, and that delivery is reflected in contract records
The COR should verify the condition and documentation of GFE at the time of delivery and ensure the transaction is captured in contract records to establish accountability.
Question 111: Ethical behavior in contract administration requires a COR to avoid even the 'appearance' of impropriety. This standard means:
- The COR must avoid only actions that are illegal
- The COR must follow all written ethics rules but is free to use personal judgment otherwise
- The COR must consult an attorney before every contractor interaction
- The COR must avoid actions that a reasonable person would view as inappropriate, even if technically permitted (Correct answer)
Correct answer: The COR must avoid actions that a reasonable person would view as inappropriate, even if technically permitted
Federal ethics standards require avoiding not just actual misconduct but also actions that would appear improper to a neutral, reasonable observer.
Question 112: In Federal Acquisition Regulations, what is the FIRST step a COR professional should take when encountering a new case or situation?
- Document the situation and wait for further instructions
- Conduct a comprehensive assessment and gather all relevant information (Correct answer)
- Implement an immediate solution based on past experience
- Consult with a supervisor before taking any action
Correct answer: Conduct a comprehensive assessment and gather all relevant information
In Federal Acquisition Regulations, a thorough initial assessment ensures all relevant factors are identified before deciding on an appropriate course of action. This systematic approach is fundamental to Contracting Officer's Representative practice.
Question 113: Under the FAR, what is the simplified acquisition threshold (SAT) as of recent updates?
- $100,000
- $250,000
- $500,000
- $150,000 (Correct answer)
Correct answer: $150,000
The simplified acquisition threshold is $150,000 under FAR 2.101, which triggers simplified acquisition procedures.
Question 114: Which communication channel is MOST appropriate for a COR to use when issuing technical direction to a contractor?
- A formal letter signed by the COR only
- Text messages for minor direction to reduce paperwork
- Verbal instructions followed by an email recap
- Written direction through the contracting officer (Correct answer)
Correct answer: Written direction through the contracting officer
Technical direction that could affect contract scope, cost, or schedule must flow through the contracting officer, not unilaterally from the COR.
Question 115: FAR Part 31 establishes cost principles primarily applicable to which contract type?
- Firm-fixed-price contracts
- Indefinite-delivery indefinite-quantity contracts
- Time-and-materials contracts
- Cost-reimbursement contracts (Correct answer)
Correct answer: Cost-reimbursement contracts
FAR Part 31 cost principles are primarily applicable to cost-reimbursement contracts where allowability of costs must be determined.
Question 116: What is the purpose of Exchanges with Offerors (Discussions) after competitive range determination?
- To negotiate final performance incentives
- To allow offerors to increase their proposed prices
- To inform eliminated offerors of the selection decision
- To give offerors the opportunity to address weaknesses and deficiencies (Correct answer)
Correct answer: To give offerors the opportunity to address weaknesses and deficiencies
Discussions allow offerors in the competitive range to address identified weaknesses, deficiencies, and other aspects of their proposals to improve their chances of award.
Question 117: Which standard of practice is MOST important for ensuring quality in Federal Acquisition Regulations?
- Minimizing documentation to focus on practical work
- Following evidence-based protocols while adapting to specific circumstances (Correct answer)
- Strictly adhering to the same procedure in every situation
- Using the most advanced technology available regardless of need
Correct answer: Following evidence-based protocols while adapting to specific circumstances
Evidence-based protocols provide a foundation of proven practices, but effective Contracting Officer's Representative professionals must also adapt their approach based on specific circumstances and individual case needs within Federal Acquisition Regulations.
Question 118: What is the PRIMARY purpose of continuing education requirements in Performance Monitoring & QA for COR professionals?
- Earning additional credentials for career advancement
- Fulfilling mandatory regulatory requirements only
- Networking with other professionals in the field
- Maintaining current knowledge and competency as the field evolves (Correct answer)
Correct answer: Maintaining current knowledge and competency as the field evolves
Continuing education in Performance Monitoring & QA ensures professionals maintain current knowledge and skills as standards, technologies, and best practices evolve in the Contracting Officer's Representative field.
Question 119: When a conflict arises between standard procedures and a unique situation in Federal Acquisition Regulations, what should a COR professional prioritize?
- The preference of the client or stakeholder
- The most cost-effective solution available
- Strict adherence to written procedures without exception
- Safety and ethical obligations while seeking expert consultation (Correct answer)
Correct answer: Safety and ethical obligations while seeking expert consultation
Safety and ethics always take priority in Federal Acquisition Regulations. When standard procedures don't adequately address a unique situation, consulting with experienced colleagues or supervisors ensures both safety and professional standards are maintained.
Question 120: Under FAR Subpart 19.5, which type of small business set-aside requires that the awardee be both a small business and perform at least 50% of the contract with its own employees?
- 8(a) Business Development program
- Women-owned small business set-aside
- HUBZone set-aside
- Small business set-aside (Correct answer)
Correct answer: Small business set-aside
FAR 52.219-14 (Limitations on Subcontracting) for small business set-asides requires the prime to perform at least 50% of the labor with its own workforce.
Question 121: In a Cost-Plus-Incentive-Fee (CPIF) contract, how do performance monitoring and QA findings most directly affect the contractor?
- They influence the fee the contractor ultimately earns based on performance (Correct answer)
- They only affect the contractor's eligibility for future small business set-asides
- They determine whether the contractor may hire additional staff
- They are recorded but have no financial impact on the contractor
Correct answer: They influence the fee the contractor ultimately earns based on performance
In CPIF contracts, the incentive fee is tied to performance against predetermined targets, so QA findings directly affect the contractor's earned fee.
Question 122: What is the primary purpose of the COR role in federal contract administration?
- To negotiate contract prices and fee arrangements
- To award task orders under indefinite delivery contracts
- To conduct source selection and evaluate proposals
- To serve as the technical liaison ensuring the contractor performs per contract requirements (Correct answer)
Correct answer: To serve as the technical liaison ensuring the contractor performs per contract requirements
The COR acts as the technical liaison between the government and contractor, ensuring performance complies with the contract's technical and quality requirements.
Question 123: Which document formally records a contractor's failure to meet contract requirements and initiates a response from the contractor?
- Cure notice (Correct answer)
- Surveillance activity checklist
- Contractor Performance Assessment Report (CPAR)
- Quality Assurance Surveillance Plan (QASP)
Correct answer: Cure notice
A cure notice formally notifies the contractor of a condition endangering contract performance and requires corrective action within a specified time.
Question 124: Which cost estimating technique uses statistical relationships between cost and a physical characteristic such as weight or horsepower?
- Parametric cost estimating (Correct answer)
- Expert judgment estimating
- Analogous cost estimating
- Engineering build-up (bottom-up) estimating
Correct answer: Parametric cost estimating
Parametric cost estimating develops estimates by applying cost estimating relationships (CERs) derived from statistical analysis of historical program data.
Question 125: Which contract type reimburses all allowable costs and provides a fixed fee paid regardless of final cost?
- Cost-Plus-Fixed-Fee (CPFF) (Correct answer)
- Cost-Plus-Incentive-Fee (CPIF)
- Firm-Fixed-Price
- Fixed-Price-Incentive (FPI)
Correct answer: Cost-Plus-Fixed-Fee (CPFF)
A Cost-Plus-Fixed-Fee contract reimburses the contractor for all allowable costs and pays a negotiated fixed fee that does not vary with actual cost.
Question 126: Which form of communication is most appropriate for documenting key contract discussions?
- Casual conversation
- Social media message
- Formal written communication (Correct answer)
- Unrecorded phone call
Correct answer: Formal written communication
Written communication provides a formal record of discussions and helps prevent future disputes.
Question 127: A contractor submits an invoice for work that the COR believes was not fully completed. What is the correct COR action?
- Document the discrepancy and notify the CO before invoice certification (Correct answer)
- Reject the invoice directly in the payment system
- Approve partial payment without notifying the CO
- Tell the contractor to resubmit after completing the work
Correct answer: Document the discrepancy and notify the CO before invoice certification
The COR should document the discrepancy and bring it to the CO's attention; the COR recommends but does not unilaterally reject invoices without proper authority.
Question 128: How does a COR verify that a firm qualifies as a small business for a specific procurement?
- Review the firm's tax returns for the past three years
- Check the System for Award Management (SAM.gov) and the firm's self-certification (Correct answer)
- Obtain a letter from the firm's bank confirming annual revenues
- Require the firm to submit a SBA size determination letter for every contract
Correct answer: Check the System for Award Management (SAM.gov) and the firm's self-certification
Small business status is self-certified by the contractor in SAM.gov; the COR can verify current registration and size representation through SAM.gov.
Question 129: How does risk management apply to daily practice in Contract Types & Administration for Contracting Officer's Representative professionals?
- Only through responding to incidents after they occur
- By avoiding high-risk situations entirely
- Through proactive identification of potential hazards and implementation of preventive measures (Correct answer)
- Through annual safety audits exclusively
Correct answer: Through proactive identification of potential hazards and implementation of preventive measures
Effective risk management in Contract Types & Administration requires proactive hazard identification and preventive measures, not just reactive responses. This approach reduces incidents, improves outcomes, and protects both professionals and clients.
Question 130: A COR is monitoring a cost-reimbursement contract. Which cost would MOST likely be considered unallowable under FAR Part 31?
- Employee training costs
- Costs of lobbying Congress (Correct answer)
- Indirect overhead costs
- Bid and proposal costs
Correct answer: Costs of lobbying Congress
FAR 31.205-22 specifically identifies lobbying and political activity costs as unallowable costs under government contracts.
Question 131: Which standard of practice is MOST important for ensuring quality in Performance Monitoring & QA?
- Minimizing documentation to focus on practical work
- Strictly adhering to the same procedure in every situation
- Following evidence-based protocols while adapting to specific circumstances (Correct answer)
- Using the most advanced technology available regardless of need
Correct answer: Following evidence-based protocols while adapting to specific circumstances
Evidence-based protocols provide a foundation of proven practices, but effective Contracting Officer's Representative professionals must also adapt their approach based on specific circumstances and individual case needs within Performance Monitoring & QA.
Question 132: A COR is asked to support contract closeout on a contract with patent rights clauses. What must be verified before the contract is closed?
- That the contractor has submitted required invention disclosures and patent reports (Correct answer)
- That DCAA has audited all R&D costs
- That all intellectual property has been transferred to a follow-on contractor
- That all patent royalties have been paid to the contractor
Correct answer: That the contractor has submitted required invention disclosures and patent reports
Contracts with patent rights clauses (Bayh-Dole) require contractors to disclose all subject inventions; verification of these disclosures is a mandatory closeout step.
Question 133: What is a 'wrap rate' in the context of government contract labor pricing?
- The contractor's profit percentage applied to all cost elements
- The overtime premium rate charged for work performed on weekends
- The total bill rate combining direct labor, fringe, overhead, G&A, and profit/fee (Correct answer)
- The government's independent estimate for a labor-hour task order
Correct answer: The total bill rate combining direct labor, fringe, overhead, G&A, and profit/fee
A wrap rate is the fully burdened labor rate combining direct labor with all applied indirect cost rates (fringe, overhead, G&A) plus profit or fee.
Question 134: A contractor submits its final indirect cost rate proposal 18 months after the contract's fiscal year ends. This is significant during closeout because:
- The government must immediately pay all claimed amounts
- Final indirect rates must be settled before a cost-reimbursement contract can be closed (Correct answer)
- The proposal triggers an immediate contract termination
- The COR must independently audit the proposal
Correct answer: Final indirect rates must be settled before a cost-reimbursement contract can be closed
Cost-reimbursement contracts cannot be closed until final indirect cost rates are established and agreed upon, since they determine the total allowable cost.
Question 135: Under FAR Part 22, the Davis-Bacon Act wage requirements apply to which category of federal contracts?
- Research and development contracts over $150,000
- Supply contracts over $10,000
- Service contracts over $2,500
- Construction contracts over $2,000 (Correct answer)
Correct answer: Construction contracts over $2,000
The Davis-Bacon Act applies to federal construction contracts over $2,000 and requires payment of locally prevailing wage rates.
Question 136: Which ethical principle prohibits a COR from accepting gifts from a contractor valued over the minimal threshold?
- Procurement Integrity Act
- Conflict of Interest Rule
- Anti-Kickback Act
- Standards of Conduct / Gift Rules under 5 CFR Part 2635 (Correct answer)
Correct answer: Standards of Conduct / Gift Rules under 5 CFR Part 2635
The Standards of Conduct at 5 CFR Part 2635 govern gift acceptance, generally prohibiting gifts from prohibited sources such as contractors.
Question 137: How does risk management apply to daily practice in Federal Acquisition Regulations for Contracting Officer's Representative professionals?
- Through annual safety audits exclusively
- Through proactive identification of potential hazards and implementation of preventive measures (Correct answer)
- By avoiding high-risk situations entirely
- Only through responding to incidents after they occur
Correct answer: Through proactive identification of potential hazards and implementation of preventive measures
Effective risk management in Federal Acquisition Regulations requires proactive hazard identification and preventive measures, not just reactive responses. This approach reduces incidents, improves outcomes, and protects both professionals and clients.
Question 138: Under FAR Subpart 16.4, what distinguishes an incentive contract from an award-fee contract?
- Incentive contracts have a fixed fee while award-fee contracts do not
- Incentive contracts require cost-sharing while award-fee contracts do not
- Incentive fees are predetermined by formula; award fees are determined by subjective evaluation (Correct answer)
- Award-fee contracts must be competed; incentive contracts can be sole-source
Correct answer: Incentive fees are predetermined by formula; award fees are determined by subjective evaluation
Incentive fees are calculated by predetermined formula tied to cost/schedule/performance targets, while award fees are determined by periodic government evaluation.
Question 139: Under the FAR, which type of contract places the MOST financial risk on the contractor?
- Cost-plus-fixed-fee
- Time-and-materials
- Cost-plus-incentive-fee
- Firm-fixed-price (Correct answer)
Correct answer: Firm-fixed-price
Under a firm-fixed-price contract, the contractor bears all cost risk and absorbs any cost overruns.
Question 140: When preparing a Contractor Performance Assessment Report (CPAR), a COR should base ratings PRIMARILY on:
- The contractor's relationship and responsiveness to government personnel
- The contractor's past performance history on other contracts
- Documented observations, inspections, and factual evidence from the contract period (Correct answer)
- The project manager's verbal assessment of overall satisfaction
Correct answer: Documented observations, inspections, and factual evidence from the contract period
CPARs must be based on documented, factual evidence gathered during the rating period — not impressions, relationships, or past performance on other awards.
Question 141: A COR is preparing end-of-year contractor performance documentation and realizes they have incomplete records for several months. The COR should:
- Submit the incomplete CPAR with a note explaining the gap
- Reconstruct the ratings based on their best recollection
- Consult the CO, document available evidence, and note the record gap honestly (Correct answer)
- Request that the contractor self-certify their performance for the missing period
Correct answer: Consult the CO, document available evidence, and note the record gap honestly
CORs must document what evidence is available, inform the CO of the recordkeeping gap, and ensure the CPAR reflects only factual, supportable observations.
Question 142: A contractor requests a meeting with the COR to discuss a potential equitable adjustment. The COR should:
- Attend the meeting but make clear the CO must be involved in any decision (Correct answer)
- Approve a preliminary adjustment to maintain good contractor relations
- Meet with the contractor and negotiate a resolution to avoid a formal claim
- Decline the meeting until the contractor submits a written request to the CO
Correct answer: Attend the meeting but make clear the CO must be involved in any decision
CORs may listen and gather information in such meetings but must make clear that any equitable adjustment requires contracting officer involvement.
Question 143: A modification is needed urgently due to an emergency situation. Which acquisition vehicle allows the CO to limit competition and issue a modification quickly?
- Blanket purchase agreement call order
- Simplified acquisition procedures under FAR Part 13
- Sole source justification under FAR 8.405-6
- Other-than-full-and-open competition under FAR 6.302-2 (unusual and compelling urgency) (Correct answer)
Correct answer: Other-than-full-and-open competition under FAR 6.302-2 (unusual and compelling urgency)
FAR 6.302-2 permits other-than-full-and-open competition when unusual and compelling urgency would cause serious harm, allowing rapid action including urgent modifications.
Question 144: What is an Evaluation Factor in source selection?
- A criterion used to assess and compare offerors' proposals (Correct answer)
- A financial penalty applied to late proposals
- A mandatory disclosure required in all proposals
- The minimum price the government will accept
Correct answer: A criterion used to assess and compare offerors' proposals
An evaluation factor is a criterion established in the solicitation that is used to assess and compare offerors' proposals during source selection.
Question 145: Which FAR clause governs payment terms for fixed-price contracts?
- FAR 52.215-10
- FAR 52.232-1 (Correct answer)
- FAR 52.222-26
- FAR 52.203-13
Correct answer: FAR 52.232-1
FAR 52.232-1, Payments, establishes the standard payment terms applicable to fixed-price supply and service contracts.
Question 146: When a conflict arises between standard procedures and a unique situation in Modifications & Change Orders, what should a COR professional prioritize?
- The most cost-effective solution available
- Safety and ethical obligations while seeking expert consultation (Correct answer)
- Strict adherence to written procedures without exception
- The preference of the client or stakeholder
Correct answer: Safety and ethical obligations while seeking expert consultation
Safety and ethics always take priority in Modifications & Change Orders. When standard procedures don't adequately address a unique situation, consulting with experienced colleagues or supervisors ensures both safety and professional standards are maintained.
Question 147: What tool does a COR typically use to track cumulative contractor billings against the contract ceiling?
- Funds status report or contract financial ledger (Correct answer)
- DD Form 254
- CPARS report
- SF-26 contract award form
Correct answer: Funds status report or contract financial ledger
A funds status report or contract financial ledger tracks cumulative billings against the contract ceiling to alert the COR when funds are running low.
Question 148: Which surveillance method involves the COR reviewing every single deliverable or service output produced by the contractor?
- 100% inspection (Correct answer)
- Periodic inspection
- Random sampling
- Customer feedback surveys
Correct answer: 100% inspection
100% inspection means every deliverable is reviewed, typically used when the risk of defects is very high or consequences of failure are severe.
Question 149: How does risk management apply to daily practice in Cost & Pricing Analysis for Contracting Officer's Representative professionals?
- Only through responding to incidents after they occur
- Through annual safety audits exclusively
- Through proactive identification of potential hazards and implementation of preventive measures (Correct answer)
- By avoiding high-risk situations entirely
Correct answer: Through proactive identification of potential hazards and implementation of preventive measures
Effective risk management in Cost & Pricing Analysis requires proactive hazard identification and preventive measures, not just reactive responses. This approach reduces incidents, improves outcomes, and protects both professionals and clients.
Question 150: What is the primary mission of the Defense Contract Audit Agency (DCAA)?
- Determine and set final overhead rates for all government contracts
- Perform contract audits and provide financial advisory services to contracting officers (Correct answer)
- Negotiate contract prices on behalf of the government
- Approve contractor accounting systems as a prerequisite for contract award
Correct answer: Perform contract audits and provide financial advisory services to contracting officers
DCAA performs audits and provides financial advisory services to contracting officers and DoD officials; it advises but does not make contracting decisions.
Question 151: Which type of contract places the greatest cost risk on the government?
- Fixed-Price Incentive (FPI)
- Cost-Plus-Fixed-Fee (CPFF) (Correct answer)
- Firm-Fixed-Price (FFP)
- Fixed-Price with Economic Price Adjustment (FP-EPA)
Correct answer: Cost-Plus-Fixed-Fee (CPFF)
Cost-Plus-Fixed-Fee contracts reimburse all allowable costs incurred by the contractor, placing virtually all cost risk on the government.
FAC-COR (Federal Acquisition Certification for Contracting Officer's Representatives)
The FAC-COR certification exam tests federal employees' knowledge of contracting regulations, acquisition planning, contract administration, and performance monitoring required to serve as a Contracting Officer's Representative.
Exam Rules
- You can skip questions and return to them later
- Flag questions for review before submitting
- No feedback shown until you submit the entire exam
- Unanswered questions count as wrong — answer everything
- 10 pretest questions are mixed in and don't affect your score
- Timer auto-submits when time runs out
- Your progress is auto-saved every 30 seconds